Should Companies Deposit Consumer Info into a Data Bank?

Businesses Should Deposit Consumer Information into a Data Bank

Consumer Information

Recently, much of the personal data in America has been compromised by hackers. Personal data on government networks and retail databases are no longer safe. These organizations are constantly being exploited on a daily basis. The FBI stated that nearly all companies within the United States have been hacked at one point in time or another – regardless if they realize it or not. This makes me wonder if America can ever completely secure its valuable data networks. Truthfully, the answer to this question is no. This problem will never completely end.

History of Security Breaches

A Brief History of Personal Security Breaches

In the past companies stored most of their customer information inside of paper files. They usually kept them on their premises. Over the past decade many companies have moved to a paperless format. Store employee and customer information are now stored on database networks or systems. The days of literally breaking into a business to steal consumer information are pretty much over. Also, very few traditional identity thieves dumpster dive for information anymore. Most modern thieves with skills can now do it with a computer.

Back in 2007 TJ Maxx data was exploited and over 45 million people had their debit and credit card information taken away. In 2008 the payment processor for Heartland Systems was compromised. Over 130 million people had their credit and debit card information exposed. Target was hacked for 40 million credit card numbers in 2013. The Home Depot suffered the same fate in 2014 when hackers accessed 56 million cards. Federal employees’ personal information is being taken at an alarming rate in 2015. Once again, we must ask the question about the best way to secure the nation’s data.

Concern

Companies and Consumers Should be Concerned About Personal Security Breaches

Companies involved in the data mining business should be concerned (but no worried) about the constant security breaches. Data and information is extremely valuable. Thieves can sell this information to different parties and collect a huge fee. The things hackers can do with a person’s financial information has already been well documented.

However, most people do not realize that their medical, legal and political information can turn a huge profit. A lot of this has to do with fraud. As a matter of fact, a person’s health information can be sold on the Black Market for 10 to 20 times more than credit card information. A lot of the medical fraud that takes place in this country stems from this problem.

Protect Personal Data

Where is the Best Place to Protect Personal Data?

Over the past few years all of the major data breaches to companies have taken place within their data centers. Some speculate that retail data might not have been compromised if companies used the Cloud. The truth is that the Cloud can even be infiltrated by hackers. It is not a totally secure medium for protecting information.

To be fair, some companies do use the cloud for data. They are able to securely protect their customers information. However, this is no guarantee that they are 100% secure. Venom is a new type of threat to Cloud based systems. It has the potential to take over some of the Cloud’s servers at any given time. Companies such as Amazon and Rackspace use open-source Cloud based data networks. Reports have been coming in about their vulnerabilities. Again, no computing or database is completely safe from hackers.

Data Banks

Data Banks Might be the Answer to Securing Personal Information

The data security industry is optimistic about protecting personal data. A lot of industry experts, companies and federal agencies are looking to data banks to perform this function. A data bank is a large repository that contains vast amounts of information. They could include Big Data networks that are often used by businesses to store customer information.

A data bank system can have a security protocol that is similar to that of a brick-and-mortar bank. There could be federal, state and local security measures put in place to help regulate these banks. The industry can also have high quality technology placed in around data bank systems. This will help to ensure no one is getting in or out of any data system without clearance.

Ultimately, it is up to entrepreneurs, companies and industry insiders to work together with securing networks. Since the business world is operated by a computer standard the threat of outside intrusions will always be present. As long as the different entities within the industry work together in a positive and cooperative manner personal security can and will be protected. Data banks may or may not be the best way to defend against intrusions. Even if they are not they still can do a lot of good with safeguarding personal information. |They can ensure that people do business without the fear of having their financial information taken away.

From the Author:

Credit for this small business article goes to Neches FCU, Port Neches, TX. Neches FCU is one of the top Texas credit unions and has an attentive team of professionals ready to provide services to our members. When their doors open at any of the several service centers, our goal of “Ultimate Member Satisfaction” becomes the imperative for every employee. They are well-known for a personal, dynamic and upbeat work environment, delivering a memorable service experience, and where members are known personally. Neches Federal Credit Union has approximately $438 Million in assets with over 45,000 members. Neches Federal Credit Union is acknowledged by members and the business community as one of the best credit unions in Texas and an actively involved partner, helping our Family, Friends and Community!